Besra Gold strengthens board with two new appointments

In preparation for the transformation to gold producer, Besra Gold has brought two new directors onboard.

With a modest market cap and JORC gold resource of 2.8Moz, incoming director David Potter sees an outsized opportunity to unlock value. Pic: Getty Images

Special Report: With a market capitalisation of about $18m and gold resources of about 2.8Moz, Besra’s new non-executive chair says the company has a “compelling turnaround opportunity”.

• Two new independent directors join board 
• David Potter will join as non-executive chair, while Sean Williamson will fill the role of non-executive director
• Potter says Besra’s modest market cap doesn’t reflect full value of gold and cash resources

In preparation for the transition from explorer to gold producer, Besra Gold (ASX:BEZ) has added two new directors to its board; David Potter as non-executive chair and Sean Williamson as non-executive director, effective today, May 19.

To facilitate these additions, Jon Morda has stepped aside as interim non-executive chair, returning to his role as non-executive director, and Michael Higginson has resigned as a director of the company, while remaining as chief corporate officer and company secretary.

‘Well positioned’

Outgoing chair Jon Morda said he was delighted by the quality of the board nominees’ qualifications and expertise.

“I am very confident that under the stewardship of our new chair, coupled with the expert strategic and legal guidance of Sean, that our new board is well positioned to meaningfully contribute to and achieve Besra’s gold mining aspirations,” Morda said.

Williamson is a corporate and securities lawyer with extensive experience in corporate finance transactions, M&A and shareholder activism as well as inhouse experience in listed gold production companies.

He says his role as non-executive director is to bring an independent perspective, upholding the highest standards of corporate governance and ensuring strategic decision are made with a long-term view of value creation and responsible resource development.

“I certainly look forward to contributing to the future success of Besra and to being offered the opportunity of being part of Besra’s team going forward,” Williamson said.

‘A compelling turnaround opportunity’

With more than 30 years’ resource sector experience, David Potter has built and led a diverse range of specialist teams providing technical, financial and strategic support for multiple start-ups, operations, feasibility and due diligence studies.

He has a wealth of hands-on operational experience as an executive at Reed Resources, Excelsior Gold and Round Oak Minerals as well as several private entities.

Potter currently works as a private resource sector consultant advising on all matters technical, financial and strategic.

As a member of the Australasian Institute of Mining and Metallurgy, he is able to act as a JORC-competent person for a variety of deposit styles.

“It is a privilege to be appointed as a director and chair of Besra,” Potter said.

“In my experience, there have been few ASX gold-focused listed companies with Besra’s combination of material JORC 2012 compliant gold resources of circa 2.8Moz and a cash backing of circa A$20m, but a modest market capitalisation of only circa A$18m. 

“This is a compelling turnaround opportunity.”

Potter added that his due diligence assessment of Besra has given him confidence in the commercial viability of the Jugan deposit in particular, and he has taken on the mission of ensuring the company’s evolution to gold mining and producing status.

“Recent years have been tumultuous for our shareholders and it is my expectation that this board renewal process will presage a resolution of those issues which have severely restrained the market’s appreciation for Besra’s assets,” Potter said.

He will be visiting the Bau gold project in Malaysia in June, with the goal of re-energising and directing the company’s interactions with the Sarawak government to secure a renewal of its mining lease.

“We will actively direct our efforts in building partnerships with the community, with a focus on education and engaging with the government for the development of a long term ethical, environmentally friendly and sustainable mining operations that delivers wealth and employment opportunities for both the local communities and for the state of Sarawak,” he said.

This article was developed in collaboration with Besra Gold, a Stockhead advertiser at the time of publishing.

This article does not constitute financial product advice. You should consider obtaining independent advice before making any financial decisions.